LED why PHILPS is very influential to "dump" lighting?

PHILPS 23, said it would split into two companies, the establishment of an independent lighting companies, while the consumer and health care sector merged into a valuation of 15 billion euros (equivalent to about RMB) of the enterprise.

First, let's look at the discussion of the news on micro-blog:

He Wei @ _HW: personal guess: a few months ago with the resolution of Lumileds, may encounter difficulties in the transformation of LED, resolution, a hope for lighting independent flexible authorization to deal with, prepare for the introduction of upstream industry partners.

Sea Mu @ Yilan: Lumileds and PHILPS automotive lighting division merged into a new Incorporated Company and the main purpose is to OSRAM in the high-end automotive lighting market especially in light of market competition, before this Lumileds has let Malaysia DOMINANT for most of its OEM package, in addition to high power including COB, and DOMINANT in the automotive market have a considerable share.

Heat conductive plastic king Tang Aoying: PHILPS cope with the future of the market competition is full of the layout of the business split at this time more clearly in the strategic positioning, more effective in the management of the implementation level. However, the development of this adjustment how to say nonsense is the opportunity and challenge coexist.

@ Wei Wei: spin off more serious problem than the sale, the former is the burden of rejection, which is the focus of …... Bless the Royal PHILPS, Jingmen, Jane Qin zheng.

From July this year, PHILPS will sell its Lumileds broke the LED department and automotive lighting branch into a separate department, they will try to attract third party capital, and set it as an independent subsidiary, the future there may be to peel off this part of the business, can see a spot. These two business revenue last year, about 1 billion 400 million euros (equivalent to about RMB 110.36 yuan). Lumileds LED and automotive lighting division is expected to be completed in the first half of 2015, two departments in 2013 the overall sales of about 1 billion 400 million euros (equivalent to about RMB 110.36 yuan). In the automotive lighting market and consumer lighting market, PHILPS does not have the advantage, it can be divided into a simple and accurate operation.

As the world's second largest manufacturer of lamps after PHILPS, OSRAM is conducting in-depth structural adjustment, including the reduction of thousands of jobs, and strive to transition from traditional lamps to new technologies, such as LED. In April this year, the German lighting manufacturer OSRAM said that the growth in 2014 to increase the difficulty of the task, the company plans to spin off accounted for the largest share of the Department of lamps and related components division, in order to quickly transition to new technology. This is related to the continuous decline in revenue.

2013 PHILPS released earnings report shows that compared to 2012, lighting part of the overall sales are relatively stable. Each quarter LED light source part of strong growth, good development trend, the fourth quarter outbreak. Mature markets such as North America and Europe have declined slightly, while emerging markets such as China and India have grown more fiercely. By 2016, LED market share will account for 45%~50%, the traditional lighting market CAGR of 4~5%, LED composite growth rate of 34% next year. In the field of lighting, the position is still very strong leader.

2014 combined with the first two quarters of earnings can be seen: the first quarter of the lighting division sales are good, the growth of PHILPS Lumileds lighting division reached a figure of two, more than the fourth quarter of 2013, LED sales increased by 37%. Second quarter lighting sector sales increased by 1% to $138 million per year; EBITA was EUR 1 billion 943 million. Among them, LED sales increased by 43% year on year, accounting for the proportion of PHILPS lighting sector sales of $36%, compared with the same period last year, an increase of the proportion of 11%. At that time, PHILPS said the company's traditional lighting sales fell 13% this season. The company will take appropriate measures to ensure the continued profitability of traditional lighting in the next few years. Now it seems, perhaps the lighting sector is the choice of PHILPS spin off.

Perhaps a simple structure can be more easily understood by investors, and easier to assess the stock situation. PHILPS CEO Vanhautown said: this reorganization of PHILPS's decision to develop a strategic timing is very correct. "

This also reflects the trend of LED lighting, the restructuring of the lighting business will be better adapted to the fundamental changes in the lighting industry, from a single product to system services. LED has greatly changed the definition and application of global lighting. In order to adapt to and lead the lighting changes, even the world giants must flow.

Related reading: PHILPS officially divided into lighting, medical science and technology two companies

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